Soros says rebound a bear-market rally

Reuters- Billionaire hedge fund manager George Soros said on Wednesday the current rebound in stock markets is only a bear market rally because monetary authorities are unlikely to be able to handle the credit crisis.

Soros told a seminar at the London School of Economics, "The prevailing market opinion is that this crisis is like previous ones. … Markets have been rallying on that. But I think it’s actually just a bear market rally based on a false conception the authorities can handle all these crises.

"This time the ability of the authorities to handle the crisis is constrained — they’ll not be able to avoid a recession," he said.